5 Best Guaranteed Loan Approval No Credit Check

When you need money, and you need it fast, a credit check will mean that you will have to wait for a couple of days as it gets processed. Avoiding credit check ensures that your loans are approved in time. You will also eliminate the red flags, which can be pointed out during the process.

Such loans are, the most ideal for people who have bad or poor credit scores. If you fall under this category and all your loan requests have been turned down, worry no more as there is hope for you. Some lenders will get you an unemployment loans with No job verification.

How Guaranteed Are These Loans?

You will always have a great shot at getting a loan approval when you have good or excellent credit scores. However, if you have a poor credit score, your chances get a little tight. A credit score under 630 will make most traditional lenders unwilling to work with you. To make matters worse, applying for a loan from such lenders e.g., banks could end up knocking your credit scores way lower.

This is why many people opt for the no credit check loans. Just as the name implies, these lenders will not run an inquiry on your credit scores. Anyone with bad credit can use this as a direct ticket to getting a loan approved.

So, are guaranteed loan approvals with no credit check a real thing? The short answer is no. In fact, such advertisements should raise red flags to you before you apply to any of them. According to the FTC, legitimate lenders will never guarantee that you will get a loan, more so if you have bad credit scores or in bankruptcy.

To get everything clear from the start, you should know that there is no such thing as a guaranteed loan. On top of that, should you find a lender willing to get you such a loan even with a not so good credit score, be prepared for a bigger catch.

What then is Guaranteed Approval?

Without beating around the bush, there is nothing in existence, such as guaranteed loan approval. In fact, it is a myth. Theoretically, a guaranteed approval means that the company you are applying for the loan at will accept your loan request regardless of who you are, what your financial status is, and many other factors. If all companies ran their businesses like this, then they would all be far long dead.

All lenders have some standard minimums, which the loan seeker must meet before their requests get approved. At times, the minimums for certain lenders is quite low, and almost anyone can attain them. For instance, some of them will only have the requirement that you ought to have a functioning bank account. This type of provision is more popular with payday loans.

Furthermore, some lenders will require that you have some regular income and have proof of it. You will be required to show that you will continue having such steady income for the time you will be supposed to be paying back the loan. If you are without employment, you can always opt for a personal loan with no income verification.

Why Promised Guaranteed Loan Approval Should Raise Red Flags

Whenever you see an ad written ‘guaranteed loan approvals,’ you should proceed with caution. Many a time, these are predatory lenders who wish to trap you in a continual cycle of debt and financial burden. The main reason why such lenders advertise for such loans is simple. The ad will get your attention, you will be tempted to click on it, and you will have led yourself directly to their door front.

This is just another clickbait tactic, pretty much like those on the internet who trick you into clicking on a link only to find it is of something else. Such lenders know who precisely they are targeting. They mostly deal with people who have a bad or low credit history, poor financial knowledge, and in a desperate rush to get some quick cash.

Once these people see their ads, they are almost guaranteed to click. That is where the luring begins, and one can be duped into agreeing into getting a loan easily. This will be done so with some hefty and sometimes hidden terms. They will make flashy promises and others will even show you a well-curated fine print, often with asterisks. At the end of it all, the seeker will walk out with a ‘guaranteed loan,’ but at what cost?

Your loan application will be approved, but it should also act as an indicator that they do not care about how you are going to repay the loan. Understanding your ability to repay the loan is the least of their concerns. A lender who does not care about your ability to repay the loan will probably trap you with their products into a debt cycle you wish you had not gotten into in the first place. Ensuring that you read the fine print well is just one of the ways to save yourself before agreeing to a deal.

Avoiding the Debt Trap

Before taking out any loan, it is paramount to have your financial health in mind. Most lenders who offer guaranteed loan approval no credit check are majorly payday lenders. These companies will provide you with short-term, guaranteed loans for bad credit with meager requirements. You may only be asked to produce a nothing more than a postdated check with the amount owed to them plus the interest accrued.

This might not be seen as something wrong by many. After all, these companies come through for you when you have no money and urgently need it. Unlike other conventional lenders, these businesses will not ask you to provide too many details, and to check your credit score is a no go zone. Many borrowers would think that such a company would not lend to them an amount that they will find hard to repay. Well, the truth is, that is precisely what they do.

There are predatory payday lenders who in the first place, depend on your inability to afford the loan. They will want you to either pay or roll over your loan, and then take another one from them. This ‘re-borrowing culture’ will just become the beginning of the end of your financial independence. You are going to be trapped in a vicious cycle of debt. Each time paying more interest, with no hopes of ever settling the principal money.

To save yourself from all that trouble, it is advisable that, even though your ability to repay the loan might not be asked, do the math yourself. Knowing so will allow you to borrow the amount which you know that you can comfortably repay. Furthermore, ensure that you are made aware of the different fees you will be required to pay, together with the principal cash and monthly interest.

Many often find themselves taking a personal loan and finding that their budgets are too tight. The loan repayment strategy is deviated away from, making more and more hits on the credit scores. Understandably, you might need a loan to sort out your short-term needs. However, you should also gauge what impact your current actions will have on your future financial situation.

Always look at what the repercussions will be in the long run.

How to Point Out Predatory Lenders

To expound further, here are the top 5 factors which should raise red flags whenever you are seeking out a guaranteed loan approval for bad credit.

1. A lender who is not interested in your credit history

Some genuine lenders will give you a loan with no credit check. This should, however, make you lose your guard. Most of the legitimate lenders will usually compensate the no credit check option with other requirements. You will be asked to provide documents which will show your ability to repay the loan in time.

Beware of the ads which claim that you will get guaranteed loan approval with no credit check. You might only be taking yourself into a trap of unforeseen debt cycle.

2. The fees to be paid are not prominently disclosed

Predatory or scam lenders will tell you that your loan request has been ‘approved,’ then they will email or call you asking to pay some fees; which you were not aware of. Should you come across such lenders, simply walk away. Any upfront fee that the lender wants to collect should raise red flags and give you reason enough, not to trust them. In most cases, they will tell you that the upfront fee is used for ‘insurance,’ ‘processing,’ or simply ‘paperwork.’

The most significant difference between legitimate lenders and these predatory ones is that the former will ask you for the appraisal, application, and credit report fees – but you will be notified of them well in advance. Moreover, they usually charge the fees on loan provided and is generally paid after the loan has been approved.

3. A loan offered by phone

It is illegal, in most states, for a company doing business over the phone to promise you a loan, then request you to make a particular payment for the loan to get processed.

4. An unregistered lender

All lenders are required to register by law, in the state at which they operate. Any lenders or loan brokers who have not registered should not be dealt with, at all costs. Moreover, you should confirm whether or not they are genuine companies by seeking the assistance of the relevant authorities.

5. Lenders who ask you to first wire money to an individual

Legitimate lenders will never ask anyone to make any payment to for a credit card or a loan directly to an individual.

5 Best Ways to Guaranteed Loan Approval No Credit Check

There are a few outlets for someone who is looking to get loan approval with no credit check. The only problem is, there are lots of scammers out there, and it will take you a lot of research and wisdom to tell the genuine lenders apart. You will also need to do some shopping if you are to get a company to get you a loan which you will repay with average or low interest.

Traditional lenders such as banks are an excellent choice but do not even bother going there. These institutions will decide on whether or not to approve a loan for you, based on your ability to pay. The proof required is usually achieved by conducting a credit check on your account.

If you are with a bad or poor credit score, having your credit score inquired is the last thing you would want. For the best outcome, it would be best if you first work to improve on your credit score ratings before applying to banks.

Should you run out of time and in urgent need of a loan, here are a few other places you can increase your chances of getting guaranteed loan approval with no credit check.

1. Auto title lenders

These are short-term loans which are secured by the title of a vehicle. Your car will be appraised, and you will, after that, get offered a loan based on the percentage value of the car. While most auto title lenders charge approximately a 25% interest a month, the repayment terms can vary anywhere from a single payment to several payments over a couple of months.

Should you not repay the loan within the allocated time frame, the lenders will come and take your vehicle.

At this stage, the car is worth way more than the loan, but it is a consequence you signed up for. Auto title loans are good, but will eventually have dire consequences if you do not repay the loan in time. 20% of such borrowers end up losing their vehicles while others renew or borrow another loan to help settle the auto title loan.

This is one of the easiest ways to get a loan as anyone with a car title is directly eligible for a guaranteed loan approval no credit check. Before agreeing to it, you should first conduct your research and ensure that you have found the best lenders who have the best offers for you. Make sure that you have a formula set for the repayment of the loan or else risk losing your car and other fees altogether.

2. Pawn shops

Almost every city or town has a pawn shop. These are simply places where you can take your belonging and you are offered some money for it. These pawn shops can offer one a fast loan without a credit check. All you have to do is to take something with you to the pawn shop, the resale value of the product is assessed, and then you are given an offer.

The shop will decide upon what amount of loan they will give to you and at what interest. There are, usually, not so many requirements for one to become eligible for these types of loans. You have to be over 18 years and in some cases, be prepared to show proof of ownership of the product.

Pawn shops have shorter loan terms of between one to two months. After your loan has been approved, you will be required to brace yourself for upcoming charges such as storage fee, insurance money, and of course, the interest accrued.

Should you not come back and repay the loan you too, the pawn shop will sell your product has it is now their property.

3. Payday loan lenders

Payday loan lenders will provide you cash as long as you can prove to them that you have a regular source of income. They majorly function for those who are under employment and receive their payments at a particular time of the month. These loans have a short-term repayment schedule for as low as 14 days.

If you find yourself unable to repay the loan on time, you can always roll it over. Doing so will bring forth additional interests rates and other fees. While payday loans are perfect candidates for those seeking a guaranteed loan approval no credit check, they should always be the last resort.

Most of them are known to be predatory, and the borrower could end up in a worse financial situation than they were before getting the loan.

4. Credit Union Loans For Bad Credit

A credit union is more like a community bank, several years back. These institutions can be affiliated with your employer, or they can be community-based. When you approach them intending to get a loan, and you have poor credit, they might overlook the credit check. You can be given a loan based on your character and (or) your ability to repay it.

5. Get a cosigner

Getting a good cosigner will help you tremendously by increasing your chances of getting a loan approved. If you make the payments on time, then your credit score will also get improved.

Final word

Getting a guaranteed loan approval with no credit check is not a guarantee. It is a myth, and you should be careful not to deal with predatory lenders. Always conduct vast research before getting loans with no credit check, to find the ones with the best offers.